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DJ AfriAg Global Plc AfriAg commits to second phase of investment

20 June 2019 
                               AfriAg Global Plc 
                      ("AfriAg Global" or the "Company") 
  AfriAg commits to second phase of investment in to Apollon Formularies Ltd 
AfriAg Global PLC, a company whose shares are admitted to trading on London's 
NEX Exchange (Ticker: AFRI) advises that following shareholder approvals of the 
resolutions put to the Company's shareholders yesterday, that it will be now 
proceeding to close the conditional placing of GBP700,000 as announced on 24 May 
2019 and now plans to move towards its stated intention of increasing its 
investment in to Apollon Formularies Ltd ("AFL" or "Investee") to 2.34%. 
As previously announced, this second stage of investment in to AFL is a key 
step towards offering a full share-based offer for all outstanding shares in 
Apollon Formularies Ltd. Further investments in Apollon Formularies Ltd will 
subject to shareholder and regulatory approvals. 
Also, with respect to the Company's announcement of 17 June 2019, and for the 
avoidance of any doubt, AfriAg advises that: 
 1. AfriAg has and is investing in to Apollon Formularies Ltd. The relationship 
    between Apollon Formularies Ltd, the UK entity, and Apollon Formularies 
    Jamaica Limited ("Apollon") has been outlined in detail in previous 
    announcements.  Accordingly, the introductory heading should read that 
    AfriAg is an Investee in AFL, not Apollon. 
 2. The referenced processing and retail licenses issued to Apollon by the 
    Jamaican Cannabis Licensing Authority ("CLA") are titled Processing Licence 
    (Tier 1: < 200 square metres) #170209113513 and Retail (Therapeutic 
    Services) License # 170209153635. Neither license title includes the phrase 
    "with harvest produced by third party producers" as appeared in the second 
    bullet point. Such phrase should have appeared separately and was included 
    in order to reference the intent of Apollon to perform its first 
    processing, and its first retail sale of medical cannabis Therapeutic 
    Services, using the harvest of crop produced by licensed third parties 
    while Apollon completes the next steps required for it to obtain approval 
    of a Tier 3 cultivation license. 
 3. Apollon's procurement of crop harvested by licensed third parties is 
    strictly for processing of products to be used with research & development 
    and/or the provision of retail medical cannabis Therapeutic Services. Crop 
    is not being procured for direct retail sale (or resale) purposes, which 
    the clause ""procured for retail purposes" may have suggested. Also, with 
    regard to such procurement of crop harvested by third parties, Apollon is 
    serving as the "Downstream Buyer" in the transactions to occur with a third 
    party "Cultivator" and the "Authority" [CLA] as such terms are defined and 
    used in the CLA's Tripartite Agreement. Apollon is not presently engaging 
    in Tripartite Agreement transaction as a "Cultivator." 
 4. As explained above and otherwise in the Company's announcement of 17 June 
    2019, Apollon has a conditional Cultivator's License (Tier 1) (Up to 1 
    acre) that has been issued by the CLA and is the process of seeking a Tier 
    3 (> 5 acres) cultivation license. While Apollon is in the process of 
    pursuing approval for a Tier 3 license, it is supplementing its processing 
    and research & development needs that are not met by the harvests resulting 
    from its Tier 1 cultivation efforts using crop procured by third parties 
    per Tripartite Agreement transactions. Once a Tier 3 license is approved 
    for Apollon, it is Apollon (not third party producers) that will be the 
    Cultivator for such land approved for cultivation under the Tier 3 license. 
    Accordingly, the phrase "by third party producers, as set out in" should 
    not have been included in the last bullet point so as to avoid suggesting 
    that third party producers are involved with the Tier 3 Cultivator's 
About Apollon 
Apollon is a Federally Licensed vertically integrated medical cannabis company 
operating in Jamaica. Its Retail (Therapeutic) Medical Cannabis Dispensary will 
be located at Doc's Place wellness center at 42 One Love Drive in Negril, 
Jamaica, which is owned and operated by Doc's Place International, Inc., an 
entity that Apollon Formularies Ltd has the right to acquire. Apollon offers a 
full suite of medical cannabis pharmaceutical products developed in its 
cultivation, processing and manufacturing facilities. Doc's Place offers an 
all-inclusive, wellness resort that through its affiliation with Apollon is 
able to accommodate medical cannabis care and treatment involving Licensed 
Medical Doctors and other healthcare professionals. Apollon also has a 
contractual option to acquire 660 acres of prime agricultural land in Jamaica 
that it intends to use for its Tier-3 legal medical cannabis cultivation 
licence (greater than 5 acres). 
Notice Regarding Forward-Looking Statements 
This announcement includes "forward-looking statements" involving the Company, 
the other entities referenced in this announcement, and the respective 
subsidiaries, affiliates and associates of the Company and such other entities 
(collective, the "Involved Entities"), which include all statements other than 
statements of historical facts, including, without limitation, those regarding 
the financial position, business strategy, plans and objectives of management 
for future operations, and any statements preceded by, followed by or that 
include forward-looking terminology such as the words "targets", "believes", 
"estimates", "expects", "aims", "intends", "will", "can", "may", "anticipates", 
"would", "should", "could" or similar expressions or the negative thereof. Such 
forward-looking statements involve known and unknown risks, uncertainties and 
other important factors beyond the control of the Involved Entities that could 
cause the actual results, performance or achievements of the Involved Entities 
to be materially different from future results, performance or achievements 
expressed or implied by such forward-looking statements. Such forward-looking 
statements are based on numerous assumptions regarding the present and future 
business strategies of the Involved Entities and the environment in which the 
Involved Entities will operate in the future. These forward-looking statements 
speak only as of the date of this announcement. The Company, on behalf of 
itself and each of the Involved Entities, expressly disclaims any obligation or 
undertaking to disseminate any updates or revisions to any forward-looking 
statements contained in this announcement to reflect any change in expectations 
of any Involved Entities with regard thereto or any change in events, 
conditions or circumstances on which any such statements are based. As a result 
of these factors, readers are cautioned not to rely on any forward-looking 
The directors of the Company accept responsibility for the contents of this 
For further information please contact: 
AfriAg Global Plc:                                 +44 (0)20 7440 0640 
David Lenigas (Executive Chairman) 
Peterhouse Capital Limited                         +44 (0)20 7469 0930 
Guy Miller 
Fungai Ndoro 
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(END) Dow Jones Newswires

June 20, 2019 04:36 ET (08:36 GMT)